Republicans on the House Financial Services Committee announced Thursday that they are launching a new subcommittee on cryptocurrency after a troubled year for the industry.
Rep. French Hill, R-Ark., will serve as the inaugural chairman of the Subcommittee on Digital Assets, Financial Technology and Inclusion.
“At a time of major technological advancement and change in the financial sector, it is our job to work across the aisle and promote responsible innovation while encouraging FinTech innovation to flourish safely and effectively in the United States,” Hill said in a statement.
The new panel’s responsibilities will include providing directives to federal regulators who oversee the burgeoning industry and cultivating policies to reach underserved communities, according to Hill.
Some lawmakers and regulators have been clamoring for more oversight of the digital asset industry after a year that saw the implosion of FTX, which was once the second-largest exchange in the world.
Sam Bankman-Fried, FTX’s founder and former CEO, was arrested last month and pleaded not guilty to fraud, money laundering, and campaign finance violations.
Cryptocurrencies also plummeted across the board last year. Bitcoin, the largest cryptocurrency by market capitalization, dropped below $20,000 by the end off 2022 and lost more than 60% of its value.